The International Monetary Fund (IMF) has approved a credit facility of 738 million Special Drawing Rights (about 1.0 billion U.S. dollars) for Ghana to address COVID-19 outbreak in the country, a release has said.
The Executive Board approved the disbursement on Monday to be drawn under the Rapid Credit Facility (RCF), according to the release received on Tuesday.
“The COVID-19 pandemic is already impacting Ghana severely. Growth is slowing down, financial conditions have tightened, and the exchange rate is under pressure,” IMF said.
It added that “The disbursement of the RCF would help address the urgent fiscal and balance of payments needs that Ghana is facing, improve confidence, and catalyze support from other development partners.”
“The IMF continues to monitor Ghana’s situation closely and stands ready to provide policy advice and further support as needed,” the statement signed by the IMF Deputy Managing Director Zhang Tao said.
The Fund added that the uncertain dynamics of the pandemic created significant risks to the macroeconomic outlook for Ghana, which continues to be classified to be at high risk of debt distress. Enditem